Richard Desmond, the new owner of Channel Five, is reportedly considering moving the offices of Five to his Northern & Shell headquarters in order to cut costs.

He is likely to move Five's 300-strong operation from Long Acre in Covent Garden to Lower Thames Street near Monument in the City, which houses titles including the Daily Express, Sunday Express and OK!.

Desmond is understood to have appointed a team of N&S senior executives to review the finances of Five, which posted a loss of €41m (£34m) last year, with a focus on cutting costs.

The Daily Express owner is also expected to merge the sales teams of N&S and Five. A spokesman for Desmond said that "no decisions have been made" so far about Five's future strategy.

Some analysts are sceptical of how the relocation plan would work. However, Desmond has promised not to take the broadcaster "downmarket" and make attempts to drive up its ratings with his tabloid shows.